IRSC Eco2013 Final Exam Questions & Answers 2024/2025
Rule of 70 - ANSWERSDoubling time (in years) = 70/(percentage growth rate).
The level of aggregate expenditures in the private closed economy is determined by the: - ANSWERSexpenditures of consumers and businesses.
Calculating Real and nominal GDP and GDP per capita - ANSWERSReal GDP= units of output x price per unit in the base year
Nominal GDP= Units of output x price per unit
GDP per capita= Gross domestic product divided by the number of people in the population.
political business cycle - ANSWERSThe alleged tendency of Congress to destabilize the economy by reducing taxes and increasing government expenditures before elections and to raise taxes and lower expenditures after elections.
What will increase labor productivity - ANSWERSby direct investing in or creating incentives for increases
in technology and human or physical capital
circular flow model - ANSWERSA model that shows the flow of goods and services and the interaction among households, businesses, and banks
Structure of the Federal Reserve - ANSWERS1) board of governors
2) chairman
3) district banks
4) member banks
Rule of 70 - ANSWERSDoubling time (in years) = 70/(percentage growth rate).
The level of aggregate expenditures in the private closed economy is determined by the: - ANSWERSexpenditures of consumers and businesses.
Calculating Real and nominal GDP and GDP per capita - ANSWERSReal GDP= units of output x price per unit in the base year
Nominal GDP= Units of output x price per unit
GDP per capita= Gross domestic product divided by the number of people in the population.
political business cycle - ANSWERSThe alleged tendency of Congress to destabilize the economy by reducing taxes and increasing government expenditures before elections and to raise taxes and lower expenditures after elections.
What will increase labor productivity - ANSWERSby direct investing in or creating incentives for increases
in technology and human or physical capital
circular flow model - ANSWERSA model that shows the flow of goods and services and the interaction among households, businesses, and banks
Structure of the Federal Reserve - ANSWERS1) board of governors
2) chairman
3) district banks
4) member banks
